10 Truths About Trading That No One Tells You
1. You can get paid rebates every time you make a trade. Do 10 trades/day and you can make 5-10% per year without making a single pip of profit. 2. If you use anything greater than 10X leverage on your opening trade your chance of losing all your money is 100% (that’s my opinion, not […]
A Silver Lining? Harvey Models Shift Slightly West
As we head into the weekend and energy traders place their final bets, the latest weather models are showing a couple trends that indicate some energy infrastructure may be spared the worst of Harvey. Though the imminent landfall and impacts over the next couple of days remain high confidence, we see confidence fall off rapidly […]
Is Geopolitical News Weighing More On Markets?
In today’s edition of Market Week in Review, Consulting Director Todd LaFountaine interviewed Mark Eibel, director, client investment strategies, about the impact of recent U.S. geopolitical news on financial markets. Equity markets taking stock of U.S. geopolitical headlines Markets are starting to react a little differently to news from Washington, D.C., Eibel said, although not […]
Unmasking The VooDoo: Sentiment
Usually, when I discuss the major parts of technical analysis I’ll use an analogy of a table. Price is the top of the table and the most important part. The legs are volume, time and sentiment. They support price analysis but do not supplant it. Everyone gets price from patterns to trends to momentum. Everyone […]
Jackson Hole’d – Dollar Dumps To 2-Year Lows After 2 Million Ounce Gold Flush
The dollar today… Video length: 00:01:12 Summarizing the week’s moves: Dollar dump sparks buying binge in bonds, bullion, and stocks (but sinks FANG Stocks) Early gains – once again thanks to Gary Cohn confirming he is not resigning – topped out as Yellen’s speech was released. Once Europe closed, stocks went bid as usual, with some noise around […]
Here’s Why International ETFs Continue To Outperform
International stocks have been the real winners this year courtesy of cheap valuations and improving economic growth in many parts of the world. After outperforming in the first half, these stocks continued to outstrip the U.S. equity world since the start of the second half. This is especially true as Vanguard FTSE All-World ex-US ETF […]
Velocity “Magic”, Tax Receipts, And GDP
Reader Jeff asks “Since we appear to have record tax receipts in a record low-velocity environment, could we expect tax receipts to increase if the velocity of money picks up?” Velocity vs Tax Receipts Velocity is defined as (prices * transactions)/(money supply). Economists substitute GDP for (prices * transactions). Real GDP is a flawed […]
Let’s See If We Can Find A Reason Why The Plunging Dollar Isn’t Trump’s Fault
Ok, look… We’ve gotten to a place now where we’re all searching for reasons why we shouldn’t blame Donald Trump for adverse market outcomes. In other words, the default when looking at things that are directly influenced by policy decisions (think FX and yields), is to assume that the only data point which matters is the fact […]
Debunking Common Myths About Bitcoin
Bitcoin is a scam. It’s a Ponzi scheme. It’s a bubble. There’s nothing backing it. I’ve heard all these before. And I understand why some people are wary. At first, many people don’t understand why bitcoin has value. Today I’m going to give a detailed response to these criticisms. One of the most important features […]
